What is the difference (in ₹) between the simple interest and the compound interest on a sum of ₹8000 for $2 \frac{2}{5}$ years at the rate of 10% p.a., when the interest is compounded yearly?

147.20

Principal(P)=Rs 8000

Rate  = 10 %

Time(T)= 2\(\frac{2}{5}\) years

Simple Interest(I)=\(\frac{P×R×T}{100}\) 

S.I. = \(\frac{8000×12×10}{100×5}\) = 1920

Compound Interest = P (1+\(\frac{R}{100}\))^t - P

C.I. = 8000 (1+\(\frac{10}{100}\))²×(1+\(\frac{4}{100}\)) -8000

C.I. = \(\frac{8000×11×11×26}{10×10×25}\) - 8000

C.I. = 10067.2 - 8000

C.I. = Rs 2067.2

Difference = C.I - S.I.

                = 2067.2 - 1920

                = Rs 147.2